Discretionary Trust Taxed at MMR Still Gets Slab Benefit – No Surcharge When Income Below ₹50 Lakh; Full Refund Restored

Manjar Discretionary Family Trust Vs ITO (ITAT Rajkot) Assessee is a Private Discretionary Family Trust, which filed return on 12.07.2024 declaring total income of ₹4,20,380/- & claimed refund of ₹51,750. CPC processed the return u/s 143(1) & reduced the refund to ₹1,252 by charging surcharge @ 37% (₹46,662) & higher health & education cess (₹6,911 instead of ₹5,045). Assessee appealed before CIT(A), arguing that its income was below ₹50 lakh, therefore surcharge is NOT applicable. However, CIT(A) rejected the appeal, relying on ITAT Mumbai decision in Ardhya Jain...